I always find that on International Workers Day it is good to reflect on the basic reality that labor creates all wealth. This year, as the global economy teeters on the brink of calamity, the end game of three decades of deregulation of the financial sector, this concept is especially poignant.

Hedge fund managers, investment bankers and stock traders don’t create wealth, they skim it. It would actually be more accurate to say they steal it, since they don’t produce anything of intrinsic value to society.

The sub-prime crisis is just the canary in the coal mine, indicating a financial system rife with ethical corruption and iniquity. Among other things, this crisis represents one of the greatest transfers of wealth away from black Americans in the history of our nation. To blame the victims, even as we bail out the predators to the tune of $30 billion, is as offensive as it is ignorant.

Capitalism is predicated on continuous growth. Like a shark, it must keep moving to survive. This basic premise ignores the fact that we live in a closed system with finite resources. It is becoming undeniable that the system is feeding on itself in a way that, if left to its own devices, will lead to its demise, much like Marx predicted.

It may not be too late to steer clear of total collapse. The first step is to re-regulate all aspects of the financial sector.

We’ve also got to stop squandering money and lives on the Iraq occupation. This military adventure is part and parcel of the gross upward redistribution of wealth of the past decades.

And we’ve got to socialize health care in this country as part of a new New Deal. Instead of continuing our devastating investment in “killingry,” as R. Buckminster Fuller called it, we need to reinvest in “livingry.”

Will Obama be the FDR to Bush’s Hoover? So far both Democratic candidates have bent over backwards to show their loyalty to Wall Street, which indicates we’re not likely to see any major change of course from three decades of bi-partisan neoliberal deregulation.

There is another way, which is better for the planet, better for our neighbors, and which, above all, gives credit where credit is due: to the workers.

Too bad nobody running for president is willing to talk about it.

This entry was posted on Thursday, May 1st, 2008 at 7:42 am and is filed under Economics, Election '08, Environment, Iraq, Labor, Politics, War. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.